Tag: mobile payments

Retailers are becoming more mobile-centric as a result of emerging trends

New trends are emerging in the United Kingdom digital commerce space. A growing number of retailers are beginning to focus their efforts in the online world, finding ways to make the shopping experience more convenient for consumers. As such, they have begun embracing mobile payments, which allow consumers to make purchasing from their mobile devices in physical stores and online. This move toward mobile-centric commerce is being encouraged by consumers that are beginning to rely on their smartphones and tablets more in daily life.

E-money is beginning to bring more convenience to the world of commerce

As consumers begin to base more of their lives on mobile technology, they are looking for ways to make their shopping experiences more convenient. This has lead to the emergence of e-money, which is the digital representation of their funds. For some, using electronic money is considered safer and faster than using physical forms of payment. Digital currency is also more easily managed by some consumers, which makes it a more attractive option than physical currencies. E-money is becoming particularly popular among those that favor mobile payments.

Biometric technology could help mobile payments thrive

Biometric technology is also becoming more popular in the United Kingdom and the rest of Europe. A recent survey from WorldPay suggests that 49% of European consumers are willing to participate in mobile transactions that are protected by biometric technology. This technology allows consumers to authenticate a transaction using their fingerprints or other biologic information, such as their voice. A growing number of retailers and banks in the United Kingdom are beginning to embrace this technology because of the security it can bring to the mobile payments space.

UK retailers want to mimic the mobile success of their US counterparts

These trends are likely to bolster the attractiveness of mobile payments in the United Kingdom. Many retailers in the UK have taken note of the success that their counterparts in the United States have found in their mobile efforts. Many of these retailers are following the example of those in the United States, making efforts to become more mobile-friendly.

The most successful smartphone transaction service is continuing to rise in popularity.

As much as Apple Pay may be holding the spotlight, at the moment, when it comes to mobile payments services, on the side of actual successes that have been proving themselves over time, Starbucks has remained at the very top of the list.

An earnings call from Howard Schultz, Starbucks CEO, revealed considerable data and insight.

Schultz explained that in the financial quarter that came to an end on December 28, 2014, Starbucks had more than 13 million mobile payments app users throughout the United States. This shows a rise of 1 million people from the previous quarter, when there had been just over 12 million users of that mobile application. Overall, this brought about a considerable user base for the smartphone based transactions in its store locations.

Schultz reported that 16 percent of the total transactions processed by the company were through mobile payments.

Comparatively, Apple Pay had been reporting early victories in the use of that mobile wallet at Whole Foods, where 1 percent of the sales had been processed using smartphones. Clearly, Starbucks has been able to not only create a success out of its service, but it has managed to do so in a solid way that is generating a rapid, steady increase in the number of people who are actually using it. They have managed to avoid becoming a flash in the pan gimmick and have provided their customers with a transaction method that they are happy to use on a regular basis.

In his own words, Schultz stated that “We continue to see broad customer acceptance and adoption of our mobile payment technologies,” adding that “Today in the U.S. alone, over 13 million customers were actively using our mobile apps. And we are now averaging more than 7 million mobile transactions in our stores each week—representing 16% of total tender. That’s more than any other bricks-and-mortar retailer in the marketplace.”

Starbucks isn’t planning to simply stay put with the current offerings of its mobile payments app. It now intends to roll out a smartphone based ordering service, which is already underway as a part of a trial in Portland, Oregon.